US Businesses in China Freeze New Investment Amid Tariff War, Geopolitical Tension: Survey

A survey found over half of US companies in China are not investing, and most were affected by geopolitical tensions and concerns about China’s slowing economy.
US Businesses in China Freeze New Investment Amid Tariff War, Geopolitical Tension: Survey
A truck drives past containers at the Port of Ningbo-Zhoushan in Ningbo, in China's eastern Zhejiang Province, on May 28, 2025. Hector RETAMAL / AFP via Getty Images
|Updated:
0:00

A record-high proportion of U.S. companies in China have frozen new investment plans, with tariffs and U.S.–China relations among their top concerns, a new survey has found.

Other top concerns include the ruling Chinese Communist Party’s (CCP’s) tight regulatory controls, such as export restrictions, sanctions, investment screenings; Chinese industrial policies that favor domestic companies; China’s slowing economic growth and lack of domestic demand; the CCP’s opaque business environment; and industrial overcapacity that is affecting a broader range of sectors.